MOTHER LAND LABORATORIES Vs. COMMISSIONER OF C. EX.

JUDGEMENT

(1.) IN this case, the dispute relates to classification of a product called "Franch Oil NH*". The appellants claim classification of this product as ayurvedic medicament under Heading 30.03 of the CETA Schedule while the Revenue insists on classifying it as a cosmetic under Heading 33.04 of the said Schedule.

(2.) HEARD both sides. The appellants' Counsel has shown us a sample pack of the product. The following particulars are seen superscribed on this pack.

(3.) AFTER examining the records and considering the submissions, we find that the demand of duty is for the period June, 1999 to August 2001, during which period the appellants had a licence issued by the Director of Drugs Control, Tamil Nadu for manufacture of ayurvedic drugs. Franch OIL NH* figures in the list of products appended to this licence. The definition of "drug" under Drugs and Cosmetics Act, 1940 is an inclusive definition covering all medicines for external use of human beings. The product in question is, undisputedly, meant for external use of human beings. The question, now, is whether it can be considered as a medicine. It is not in dispute that the subject product is a preparation containing extracts from seed and root of Ricinus Communis Linn (Castor plant) to the extent of 98% and extract from Ocimum Sanctum (Tulsi) to the extent of 2%. Much of the literature produced by Id. Counsel is on the major constituent, namely, castor oil. Drayaguna Vijnana (Materia Medica -Vegetable Drugs) by Dr. Gyanendra Pandey mentions certain therapeutic uses of castor oil. It states that castor seed oil is little warmed up and topically used for applying over "swellings and pains of joints and body organs in different ailing conditions." It further states that various parts of the plant such as seeds, seed -oil, roots, root -bark, flowers and leaves are used in different forms in treatment of several diseases; they also enter in a number of formulations or recipes prescribed in treatment of various ailments. Vagbhata's Astanga Hridayam says that castor oil is used for medicinal purposes to relieve pains and reduce swelling etc. Ayurveda Encyclopaedia by Swami Sada Shiva Tirtha states that castor oil, in external application, heals sores, wounds, sprains, and injuries and further that it detoxifies, reduces abdominal tumors, swellings and pain, menstrual cramps. Dr. K.M. Nadkarni's Indian Materia Medica (Volume I) says that castor oil drawn from small grey seeds by expression is used for medicinal purpose in considerable quantity all over the world. Incidentally this book also refers to Tulsi and says that persons affected with bad skin diseases such as itches, ringworm, leprosy, badboot etc. should apply the juice of leaves by itself or mixed with lime juice as a paste for radical cure. Shri T.V. Sairams Home Remedies deals with the medicinal uses of both castor oil and tulsi. In respect of Tulsi, the following applications are prescribed in Home Remedies :